What are Installment Loans?

Instalment loan is offered by Standard Chartered Bank in India and it is called as Business Instalment Loan. It is an Unsecured Loan that is provided to small and medium scale enterprises with access to funds to meet working capital requirements or to extend the business.

Features of Business Installment Loans

The features of business instalment loan is:

Easy to apply and the application process is quick and simple.

You will be allowed to borrow up to Rs.75 lakh. The minimum loan offered is Rs.10 lakh.

The loan can be taken for a period of up to 36 months. The minimum period for which you can take the loan is 12 months.

The loan doesn’t require you to provide any collateral or security to approve your Business Instalment Loan.

Eligibility criteria for Installment Loans

The following people are eligible for availing Business Instalment Loan:

Sole proprietor or proprietorship firms

Partnership firms

Private limited companies

Closely held public limited companies

Doctors

Architects

Chartered Accountants

Business Consultants

Installment Loans Interest rate

Attractive interest rates are offered depending on the loan amount, credit assessment and other parameters. The details will be provided by the sales officer. The interest rate starts from 17.5% per annum.

Documents required for Installment Loans

The documents required for applying for Business Instalment Loan are as follows:

Bank statement for the last 6 months.

2 years profit and loss statement, balance sheet and income tax returns statement.

Documents of entity, identity and address proof.

Other documents as specified by the sales officer.

Prepayment of Installment Loan

The prepayments is not allowed in the first 1 year of the loan. The loan can be prepaid after one year and you will be charged a 5% pre-closure fee on the outstanding amount at the time of closure. Service tax will be additionally applicable.